Private Equity-bolags styrning av portföljbolag; En fallstudie av värderingsmodellens översättning till olika organisationsnivåer.
The aim of this thesis is to investigate how a valuation model of a Private Equity firm is interpreted into a management control system within the company's different organizational levels. A case study was developed based on the infra-net company Eltel. The management control systems developed by Malmi and Brown (2008)(1) was used to characterize the control systems at each organizational level. The building blocks of this system are planning, cybernetic, reward/compensation, administrative and culture. Miller and O'Learys (2007)(2) theory of mediating instruments and technology roadmaps was applied to analyze the mediating process of the valuation model. The results show that the cybernetic controls worked as a mediating instrument in the translation of the valuation model to different organizational levels. Interrelations with the planning controls were also found to be crucial in the mediating process. Results indicate that the control elements planning, reward/compensation, administrative and culture work as technology roadmaps in order to operationalize the mediating instrument. In order to fully work as a mediating instrument there is a need for a cultural technology roadmap, which could be influenced either by recruiting and/or the reward/compensation technology roadmap, which should include a clear linkage between result and reward.1. Malmi, T. & Brown, D.A. 2008, "Management control systems as a package-Opportunities, challenges and research directions", Management Accounting Research, vol. 19, no. 4, pp. 287-300.2. Miller, P. & O'Leary, T. 2007, "Mediating instruments and making markets: Capital budgeting, science and the economy", Accounting, Organizations & Society, vol. 32, no. 7, pp. 701-734.